Does too much competition in banking hurt society? What policies can best protect and stabilize banking without stifling it? The global financial crisis of 2007–2009, which originated from an oversupply of credit, once again raised questions about excessive banking competition and what should be done about it. Focusing on why banking competition policies are necessary, Competition and Stability in Banking (link is external)examines regulation's impact on the industry's efficiency and effectiveness.

Xavier Vives is professor of Economics and Finance, Abertis Chair of Regulation, Competition and Public Policy, and academic director of the Public-Private Research Center at IESE Business School in Barcelona. His books include Information and Learning in Markets (Princeton) and Oligopoly Pricing.